PRESS DIGEST - British business - June 19

The Times

HEWITT NAMED AS SENIOR INDEPENDENT DIRECTOR AT BT

The former Health Secretary Patricia Hewitt has become the new senior independent director at BT (BT.L). Her role will be to regain the confidence of shareholders concerned by the company's rising pension liabilities, the poor performance of the organisation's Global Services IT consultancy division, and the fate of the dividend. Some BT shareholders are considering demanding the departure of the company's chief executive, Ian Livingston, if the situation does not improve over the next year. Hewitt will be paid in the region of 110,000 pounds a year for her new responsibilities.

NO INSULATING SIG AS SHARES PLUMMET 22 PER CENT ON PROFIT...

The insulation products company SIG (SHI.L) has forecast that its 2009 profits will be lower than predicted by most analysts. The company was expected to report underlying pre-tax profits of between 63 million pounds and 99 million pounds, but SIG stated that earnings would be closer to the lower figure at best. Earnings have been hit by cold weather on the European mainland, meaning that fewer new buildings have been constructed. The news resulted in a fall of 22 per cent in the company's share price to 90 pence.

BHP BILLITON ADDS HANDS-ON MINING EXECUTIVE TO BOARD

Wayne Murdy, former head of gold miner Newmont Mining, has joined the board of directors at BHP Billiton (BLT.L). Originally an accountant, Murdy worked at Newmont from 1992 until December 2007. His appointment will go some way to quelling doubts over the "hands-on" mining experience of the BHP board. "Wayne will be an excellent addition to our board and we are very pleased that he has agreed to join us," stated Don Argus, chairman of the company. "His depth of senior management experience and knowledge of the industry will be an asset to the company."

TEMPUS

Carnival(CCL.L) [Wait before buying]

GKN(GKN.L) [Buy]

Ashtead(AHT.L) [Hold]

The Daily Telegraph

RUDD TO CHAIR NEW DISTRESSED FUND

Sir Nigel Rudd is to chair a new distressed investment fund, Marwyn Alternative Capital, which will specialise in small to mid-cap companies that have short-term liquidity problems. The fund set up by Marwyn will launch next month and is supported by Royal bank of Scotland (RBS.L). The new fund will look at investing in construction, science and engineering, among other sectors. James Corsellis, managing partner at Marwyn, said the opportunity for new investors to exploit the recession would only be available for the next 12 to 18 months.

PROPERTY GIANTS MAKE CONTRASTING DECISIONS ON EXECUTIVE.

Land Securities (LAND.L) has scrapped bonuses, while British Land (BLND.L) has maintained remuneration at pre-crisis levels - two sharply contrasting decisions on executive pay by property companies that have been hit by turmoil in the market. During the 12 month period to march 31, British Land actually increased pay to its board by 11 per cent to three million pounds, despite making a 3.9 billion pound loss. In contrast, Land Securities' remuneration committee cancelled bonuses for executives, as it made a 4.8 billion pound loss last year.

CADBURY HELPED BY COMFORT-EATERS

Cadbury (CBRY.L) is to meet forecasts for sales this year thanks to strong UK demand and a recovery in US sales, as customers have stopped cutting stock levels. Todd Stitzer, chief executive, attributed the strong chocolate sales in Britain to more people staying at home and buying well-known brands because of comfort-eating during economic uncertainty. The global confectionery company said chocolate revenue had been "robust" in the first five months of the year and sales of gum and sweets also increased.

QUESTOR

ETF Securities Agriculture (AGAP) [Buy]

Ashtead Group(AHT.L) [Hold]

The Independent

TCHENGUIZ REMOVES HORLICK FUND'S BOARD

Vincent Tchenguiz has secured enough support to oust the board of Bramdean Alternatives through Elsina, an investment vehicle owned by the property tycoon. Bramdean Alternatives is now likely to be wound up and there are calls for cash to be returned to investors. Shareholders owning 55.6 per cent of the listed fund, run by Nicola Horlick, backed the proposals to replace the board at an extraordinary general meeting in Guernsey. Elsina, backed by RMF - a division of Man Group (EMG.L), Brit Insurance (BRE.L) and Progressive - welcomed the move.

THE RIGHT FIT, TAILOR BUCKS HIGH-STREET TREND

Gieves & Hawkes has reported a "double-digit" growth in bespoke and personal tailoring services over the past 12 months, partly driven by customers wanting to look smart in the office or for job interviews. The retailer's bespoke handmade suits start at 3,800 pounds and mark Henderson, the deputy chairman, said the firm even sold a bespoke suit for 15,000 pounds a couple of weeks ago. The Savile Row tailor, that has 23 stores and concessions in the UK, reported "single digit" growth in overall UK sales.

BRADFORD QUITS AS EMAP MANAGER

Emap EMA.L has been hit by the departure of Neil Bradford, the co-chief executive of Emap Data and Insight. The loss of a senior manager at the beleaguered publishing group, owned by Guardian Media Group and Apax, comes a week after it emerged that Apax had written its investment in Emap down to zero. Emap has suffered in the financial crisis, in line with much of the media industry. The group has cut jobs and seen the value of its portfolio plunge.

INVESTMENT COLUMN

Go-Ahead Group(GOG.L) [Buy]

Ashtead Group(AHT.L) [Avoid]

Plant Impact [Buy]

The Guardian

FRED FINALLY SHREDS HIS OWN PENSION - RIGHT DOWN TO A MERE.

The disgraced former chief executive of the Royal Bank of Scotland (RBS.L), Sir Fred Goodwin, has agreed to cut his 550,000 pound annual pension to 342,500 pounds, after the location of his new home in France was revealed and the safety of him and his family therefore compromised. Politicians welcomed the move, saying that it provided closure to the problems at RBS and would allow it to continue its recovery. Union and business leaders were less conciliatory - pointing out that the pension still rewarded the mismanagement which had caused the redundancies of thousands of the bank's employees.

MULBERRY OUT OF THE WOODS

The accessories company Mulberry has reported a rally in its early summer sales, a possible indicator of consumers being more prepared to spend money on non-essential items such as the company's expensive handbags, which can cost up to 1,900 pounds. Like-for-like sales rose 21 per cent in the first 10 weeks of the financial year, after a difficult winter. However, chairman and chief executive Godfrey Davis remains cautious. "Unemployment is continuing to rise and it's not clear what impact that will have on consumer spending," he remarked.

MARSTON'S JOINS STRUGGLING PUB GROUPS SEEKING INVESTOR CASH

Marston's (MARS.L) has become the third brewer and pub group in less than two months - after Greene King (GNK.L) and Punch Taverns (PUB.L) - to call a rights issue. The three other major pub groups - JD Wetherspoons(JDW.L), Enterprise Inns (ETI.L) and Mitchells and Butlers (MAB.L) - may soon issue cash calls as well, as they are all struggling with debt commitments in a hostile trading environment. Marston's rights issue, which will total 176 million pounds and will be underwritten by RBS(RBS.L) and JP Morgan, will offer 299 million shares at 59 pence each - a 58 per cent discount to Wednesday's closing price.

Prepared for Reuters by Durrants